Facebook to reveal updates for news feed at March 7 event

Facebook CEO Mark Zuckerberg speaks at Facebook headquarters in Menlo Park, Calif., Tuesday, Jan. 15, 2013. The company will hold a press event on March 7 at its headquarters in Menlo Park, Calif., according to a press invitation sent Friday.AP Photo/Jeff Chiu

By BRIAN WOMACKBloomberg News

SAN FRANCISCO — Facebook is updating its News Feed, the main stream of updates from friends, companies and media sources on the world's largest social network, as it seeks more ways to draw revenue from more than 1 billion users.

The company will hold a press event on March 7 at its headquarters in Menlo Park, Calif., according to a press invitation sent Friday.

News Feed, which now includes advertising spots, has become a key part of Facebook's monetization efforts, including on handheld devices where users increasingly access the service. In the fourth quarter, revenue from wireless devices made up 23 percent of total ad sales as the number of users on smartphones and tablets outpaced desktop users. The press event may focus on mobile devices and include updates to make pictures and other elements larger, Greg Sterling, an analyst at Opus Research in San Francisco, said in an interview.

"They're going to need to squeeze more money out of mobile," Sterling said. "They really want to show they can deliver on these devices."

Facebook advanced 1.9 percent to $27.78 at the close in New York. The stock has declined 27 percent from its initial public offering price of $38 in May.

At its last press event, Facebook in January unveiled Graph Search, designed to make it easier for users to find friends, restaurants, locations and interests based on their social connections. Facebook also is developing a smartphone application that will track the location of users, two people with knowledge of the matter said last month. The app is scheduled for release by mid-March, the people said.